Economic Impact of the Service Sector and Tourism

Key Concepts of the Tertiary Sector

The tertiary sector is the same as the service sector and is defined as one that does not produce goods, but provides necessary services to society such as trade, banking, education, and health.

Public services are those whose provision is guaranteed by the state.

Retail trade involves the merchant who is in contact with the consumer and sells products in small amounts. This can take many forms: from market stalls and small shops to supermarkets and hypermarkets. In recent decades, medium-sized supermarkets and hypermarkets have experienced significant growth.

The balance of payments is the trade balance to which we add tourism revenues and foreign loans or interest credits.

Tourism refers to the movement of people for entertainment and fun, regardless of the length of time.

Characteristics of the Service Sector

Services are the dominant economic sector in developed countries, where they provide around 70% of the wealth and employment. Developed countries account for most of the trade, possess good transport and telecommunications infrastructure, and offer their population a large number of quality services.

This dominance is explained by four factors:

• The high income of their inhabitants.
• The commitment of governments to provide basic social services to their inhabitants.
• Mechanization and the high productivity of agricultural and industrial sectors, which increasingly require fewer workers.
• The outsourcing of their industries.

Global Tourism and Its Economic Significance

Tourism involves the movement of people for entertainment and fun, regardless of the duration. Countries that receive the most tourists and are leaders in this field include Spain, France, the USA, and Italy. Regarding the origin of tourists, those who travel the most are Americans, Japanese, and Germans due to their high purchasing power.

Main Types of Tourism

• Sun and sea: Spain leads the ranking in the number of tourists received, as the Mediterranean offers favorable summer temperatures and minimal rain during that time of year.
• Culture: This is led by France; the appeal lies in monuments, arts festivals, and various historical sites.
• Sports Tourism
• Religious Tourism
• Rural and Cultural Tourism

In Spain, tourism is the main source of income, which helps cover the costs of oil imports.